Table of contents
Read the full Valentino brand report Here.
The personal luxury market saw single-digit growth, stabilising after years of strong post-pandemic recovery. Several reports echoed similar sentiments, anticipating a bifurcated recovery with performance divergence by geography and brand agility. Against this backdrop, Valentino maintained a steady course, reporting improvements in profitability and selective regional expansion, despite challenges in wholesale and macro-pressured Asian markets.
Financial Performance Overview: A Mixed Picture Amid Industry Normalisation
| Key Financial Indicator (€ million) | 2024 | 2023 | 2022 |
|---|---|---|---|
| Revenue | 1.311 (-2,74 %) | 1.348 (-4,93 %) | 1.418 (+15,25 %) |
| Operating Revenue | 0,012 (-87,14 %) | 0,092 (-17,97 %) | 0,120 (+30,27 %) |
Valentino closed 2024 with total revenue of €1.311 million, reflecting a -2,74% year-on-year contraction. This marks the second consecutive year of top-line decline, following a -4,93% drop in 2023, indicating a cumulative revenue erosion of approximately €107 million since 2022. By contrast, 2022 had ended on a high, with revenues rising +15,25% compared to 2021, making the ensuing decline more conspicuous.
Operating revenue, a sharper indicator of core business profitability, experienced a severe plunge in 2024, falling -87,14% year-on-year to just €0,012 million. This compares to €0,092 million in 2023 (-17,97%) and €0,120 million in 2022 (+30,27%). This stark decline may be attributed to increasing cost pressures, investments in brand repositioning, and the early-stage financial impact of creative transitions.
Benchmarking Against Competitors
Compared to its industry peers, Valentino’s performance highlights a more exposed market position. Gucci, for instance, despite undergoing a major creative overhaul—reported relatively flat revenues for 2024, buoyed by robust US and Middle Eastern demand. Dior and Louis Vuitton, under the LVMH Moët Hennessy - Louis Vuitton umbrella, registered high single-digit growth, reflecting continued dominance and pricing power in the ultra-luxury segment.
While the broader luxury industry posted low to mid single-digit growth in 2024, Valentino reported a modest revenue decline, slightly below the sector average. This performance reflects a mix of internal recalibration and macroeconomic headwinds. Its mid-tier positioning between heritage maisons and entry-luxury players may have heightened demand sensitivity, particularly in markets like China and the US, where aspirational spending softened.
Internal Comparison and Context
Analysing Valentino’s internal trajectory, the brand peaked in 2022, buoyed by post-pandemic demand and supportive macroeconomic conditions. By 2023, however, momentum tapered off, marking a structural reset that aligned with the exit of long-time creative director Pierpaolo Piccioli and a broader sector slowdown. The 2024 results, more resilient than expected, capture a maison in the midst of reinvention: recalibrating its creative vision under Alessandro Michele while prioritising narrative depth, product distinctiveness, and strategic positioning for long-term relevance.
This strategic repositioning, while financially costly in the short term, may bear fruit in the medium term—especially if retail-led growth, elevated product architecture, and more agile pricing strategies are effectively implemented in 2025.
Regional Performance: Europe Anchors, Asia Wavers
Valentino’s geographic revenue distribution in 2024 provides deeper insight into both the resilience and risks embedded in its current global footprint. With total revenues amounting to €1.311 million, Europe once again emerged as the brand’s largest contributor, generating €523,8 million — accounting for 40% of overall sales. This region’s continued strength is driven by a combination of tourism recovery, luxury-savvy local consumers, and strong retail operations across core fashion capitals like Milan, Paris, and London.
The Americas followed with €341,7 million, contributing 26% to the total revenue. This moderate performance suggests stabilisation in the region, particularly in the U.S., where high-end discretionary spending has become more selective amidst inflationary pressures. Valentino’s store footprint in premium malls and its affinity among Gen X consumers may have helped maintain demand despite macroeconomic uncertainty.
Asia Pacific, including Greater China, delivered €254,4 million in sales — 19% of the annual revenue. This figure represents a relatively underwhelming share for a region that continues to power growth for many of Valentino’s rivals. While LVMH Moët Hennessy - Louis Vuitton and Hermes benefited from an uptick in local luxury consumption, Valentino’s softer results here may be attributed to competitive pressure, a still-fragile Chinese recovery, and brand visibility challenges post-leadership transition.
Japan contributed a modest €71,3 million, or 5% of total revenues, reflecting steady but limited traction in this mature, brand-loyal market. Meanwhile, ‘Other Markets’ — comprising regions such as the Middle East, Africa, and Latin America — accounted for €120,0 million, or 9% of total revenues. Growth in this segment is likely fuelled by the Middle East, especially given Valentino’s retail expansion in the Gulf and increasing localisation efforts.
Overall, the figures reinforce Valentino’s European backbone while exposing the need for stronger localisation, omnichannel strategies, and marketing investment in Asia-Pacific and the Americas to achieve a more balanced global portfolio.
Brand Developments and Strategic Milestones
2024 was a transformative year for Valentino, marked by high-impact decisions, global activations, and strategic expansion.
1. Creative Leadership Transition
- 28 March 2024: Valentino announced the appointment of Alessandro Michele (former Creative Director of Gucci) as the successor to Pierpaolo Piccioli, who stepped down after nearly eight years at the helm. Piccioli, celebrated for steering Valentino into a new era of romanticism and inclusive elegance, has since been named Creative Director at Balenciaga. Michele, widely credited with revitalising Gucci’s image and delivering exceptional revenue and profit growth during his early tenure, is expected to bring a bold, eclectic energy to Valentino. His first haute couture show for the maison is set for September 2025 at Paris Fashion Week. This transition comes amid closer ties with Kering, which currently holds a 30% stake in Valentino and also owns Gucci and Balenciaga; setting the stage for potential long-term integration within the French luxury conglomerate’s strategic ecosystem.
2. Flagship Store Expansion & Omnichannel Evolution
July 2024: Valentino launched a new flagship in Riyadh’s luxury district, integrating VIP lounges and seamless online–offline experiences.
November 2024: Seoul boutique relaunch, featuring digital clienteling and AR try‑on tools to enhance local engagement.
February 2025: Opened a newly renovated boutique in Tokyo, with experiential installations designed to reflect Michele's artistic narrative.
March 2025: New store in Dubai Mall, reinforcing foothold in the GCC and capitalising on regional luxury rebound.
3. New Capsule & Collection Introductions
Q2 2024: Debuted “Maison Valentino Essentials” capsule—timeless and refined wardrobe staples—targeted at Gen Z and Millennials via digital-first promotion.
1 September 2024: Launched the Pink PP campaign, spotlighting accessories and leather goods, featuring Florence Pugh and Jisoo (Blackpink) across East Asia, reinforcing youth and pop‑culture resonance.
4. Global Brand Events & Engagement
May 2024: Participated in Maison & Objet Paris, showcasing a creative collaboration on Home Décor, signalling diversification beyond fashion.
July 2024: Hosted an exclusive dinner in Dubai, attended by top VIP clients and regional ambassadors—strengthening relationships and building local brand prominence.
October 2024: Held a Shanghai VIP pop-up focusing on high jewellery, coinciding with the Mid-Autumn Festival, drawing over 1,500 high-spending clients.
5. Sustainability and Digital Innovation Updates
November 2024: Relaunched the Valentino app with upgraded AR try-on features and expanded personal shopping services in the US and Europe.
January 2025: Expanded the “Valentino Vintage” pre-loved collection to Milan and New York—deepening commitment to circularity.
Strategic Outlook and Concluding Analysis
Valentino’s performance in 2024 reflects a strategic pivot in response to a luxury market marked by deceleration and changing consumer dynamics. While revenue declined slightly for the second consecutive year, the brand demonstrated disciplined execution in areas such as retail investment, brand storytelling, and operational refinement. Initiatives like the launch of Maison Valentino Essentials, elevated in-store experiences, and strategic ambassador partnerships created a strong foundation for future resilience.
Despite the drop in operating revenue and a more modest presence in Asia-Pacific compared to peers, Valentino's ability to maintain positive operating profit close to €100 million, even while ramping up investment in talent and infrastructure, highlights prudent financial stewardship. These choices position the brand for rebound potential in the years ahead.
As a report shows a slow-growth luxury scenario through 2025, marked by bifurcation between the ultra-luxury and accessible segments, Valentino’s mid-luxury positioning will require sharper differentiation and emotional resonance. An outlook further stresses the importance of creative renewal, experiential retail, and sustainable innovation—all areas where Valentino has already made inroads.
Looking Ahead: 2025 and Beyond
2025 is shaping up to be a landmark year for Valentino, with the debut of Alessandro Michele’s first full runway collection at Paris Fashion Week in September 2025. This highly anticipated show is expected to reframe Valentino’s aesthetic identity, fusing Michele’s signature romantic maximalism with the maison’s couture DNA.
The brand has also continued to build momentum in H1 2025 through:
New boutique openings in Dubai and Tokyo, further cementing its physical presence in luxury-heavy markets.
Stronger digital rollouts, with Valentino’s proprietary e-commerce platform expanding its localised offerings in the US and Japan.
Continued commitment to circular fashion, including expansion of the Valentino Vintage programme to key retail partners in New York and Milan.
Additionally, industry speculation persists regarding Kering Group’s eventual full acquisition of Valentino, a move that could provide the capital scale and operational leverage needed to accelerate global expansion and vertical integration.
Sources: Valentino S.p.A. Annual Report 2022-2024, Business of Fashion (May 2025), Bain & Company and McKinsey & Co.
Cover Image: Valentino 2024 Chinese New Year collection campaign, courtesy Vanity Fair.
Read the full Valentino brand report Here.
For a deeper dive into the financial performance of other top luxury brands, explore the
Loewe 2023 Financial Report here
Hermes 2024 Financial Report here
Dior Q1 2024 Financial Report here
Check out other financial analysis article here